Scientific Games Corp. Buying WMS to Create Major Lottery, Slot Brand
We have a winner if you bet that the $1.5 billion acquisition of slot machine manufacturer WMS Industries by Scientific Games Corporation would increase New York-based Scientific’s street cred on Wall Street, please step forward: ding ding ding! The buyout is expected to bring both WMS and Scientific Games in the neighbor hood of $100 million in complementary cost-savings between the two merged companies, and that’s making investors’ ears perk up.
Lottery Suits Slots
Scientific has been on the lookout for a slot machine maker for awhile now; the company provides lottery systems and also the equipment to perform the exact same to many American states, Canadian provinces as well as some foreign countries. Don’t count on Nevada being certainly one of those though; not gonna happen.
For WMS stockholders, life is good; Scientific Games shelled down $26 per WMS share, that has been about 59 percent over what the slot manufacturer closed at back on Jan. 31 of in 2010.
‘We carry on to grow more confident with the pending WMS acquisition from both a simple and much more importantly business stability perspective,’ said Stifel Nicolaus Capital Markets gaming analyst Steven Wieczynski about the merger at an investor meeting that is recent.
Gaming Platforms Will Benefit Lottery Customers
And although Nevada may never be getting a state lottery anytime quickly, Scientific can nevertheless make good use of WMS’ social- a Read More